Well the sensible ones teach that way. The not so sensible ones give us (at least the modern twist on) Keynes etc.
GM Plans To Sell Assets, Liquidate Others If Bankruptcy Occurs
Last update: 5/14/2009 6:20:55 PM
DOW JONES NEWSWIRES
General Motors Corp. (GM) said if it were to file for bankruptcy relief, it would likely sell assets to a new operating company and liquidate its remaining assets.
The company detailed its potential plan in a Securities and Exchange Commission filing Thursday, ahead of a June 1 deadline imposed by the U.S. government to have a suitable restructuring plan in place or face a bankruptcy filing.
GM said in the event it doesn’t receive enough tenders under its exchange offer for $27 billion in notes by June 1, it expects to seek relief under the bankruptcy code.
The company added it is continuing to solicit support from its bondholders, saying if the exchange offer was successful, it would allow GM to restructure out of bankruptcy court.
Rival Chrysler LLC already sought protection late last month as it works to stay afloat and plans to sell the bulk of its assets to a new company that will be owned by Fiat SpA, the United Auto Workers union, and the U.S. and Canadian governments.
GM is looking to focus on four core brands, while closing and selling off its underperforming offerings as it looks to make itself more viable amid a sharp downturn in auto sales.
Shares were down 0.9% to $1.14 in after-hours trading. The company’s stock has lost 91% of its value from September.